Lum Chang to buy $52m London property

AS PART of plans unveiled yesterday to seek property investment projects in the UK, Lum Chang Holdings is buying a London property, now being operated as a hotel by the sole tenant, for about $52 million.

Lum Chang Holdings, whose core businesses are construction and property development and investment, said yesterday that its wholly owned subsidiary, Lum Chang Orion, has incorporated two fully owned units in Jersey, Channel Islands. The units - Pembridge Palace Holdco Limited (PPHL) and Pembridge Palace Propco Limited (PPPL) - will undertake property investment pro-jects in the UK. PPHL, set up as an investment holding company, holds 100 per cent equity interest in PPPL.

To acquire the London property, PPPL entered into a sale-and-purchase agreement with Purple Sky Sarl on Monday to buy the freehold property at 52-57 Prince's Square for £25.99 million (S$52 million), plus value-added tax of about £5.2 million. On completion of the acquisition, which is expected to be on Jan 13 next year, PPL will submit a standard claim for refund of the VAT paid.